STRR vs MGRC vs TREX vs WSC vs BLDR

For growth investors, McGrath RentCorp (MGRC) is the stronger pick with 3.

7% revenue growth year-over-year, versus -66. 9% for Star Equity Holdings, Inc. (STRR). McGrath RentCorp (MGRC) offers the better valuation at 18. 0x trailing P/E (17. 7x forward), making it the more compelling value choice. Analysts rate McGrath RentCorp (MGRC) a "Buy" — based on 5 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, McGrath RentCorp (MGRC) is the cheapest at 18.

0x versus Trex Company, Inc. at 22. 0x. On forward P/E, Builders FirstSource, Inc. is actually cheaper at 14. 1x — notably different from the trailing picture, reflecting expected earnings growth. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Builders FirstSource, Inc. wins at 1. 78x versus Trex Company, Inc. 's 7. 16x — a reasonable growth-adjusted valuation.

Over the past 5 years, Builders FirstSource, Inc.

(BLDR) delivered a total return of +51. 8%, compared to -64. 0% for Trex Company, Inc. (TREX). Over 10 years, the gap is even starker: BLDR returned +614. 8% versus STRR's +50. 6%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Star Equity Holdings, Inc.

(STRR) is the lower-risk stock at 0. 19β versus WillScot Holdings Corporation's 2. 13β — meaning WSC is approximately 1010% more volatile than STRR relative to the S&P 500. On balance sheet safety, Star Equity Holdings, Inc. (STRR) carries a lower debt/equity ratio of 3% versus 5% for WillScot Holdings Corporation — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), McGrath RentCorp (MGRC) is pulling ahead at 3.

7% versus -66. 9% for Star Equity Holdings, Inc. (STRR). On earnings-per-share growth, the picture is similar: Trex Company, Inc. grew EPS -14. 8% year-over-year, compared to -293. 3% for WillScot Holdings Corporation. Over a 3-year CAGR, MGRC leads at 14. 1% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

McGrath RentCorp (MGRC) is the more profitable company, earning 16.

6% net margin versus -19. 6% for Star Equity Holdings, Inc. — meaning it keeps 16. 6% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: MGRC leads at 25. 9% versus -15. 8% for STRR. At the gross margin level — before operating expenses — WSC leads at 46. 8%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Builders FirstSource, Inc. (BLDR) is the more undervalued stock at a PEG of 1. 78x versus Trex Company, Inc. 's 7. 16x. Both stocks trade at elevated growth-adjusted valuations, so expected growth needs to materialise. On forward earnings alone, Builders FirstSource, Inc. (BLDR) trades at 14. 1x forward P/E versus 26. 1x for WillScot Holdings Corporation — 12. 1x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for BLDR: 38. 3% to $109. 92.

In this comparison, STRR (7.

0% yield), MGRC (1. 7% yield), WSC (1. 2% yield) pay a dividend. TREX, BLDR do not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, Star Equity Holdings, Inc.

(STRR) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 19), 7. 0% yield). Trex Company, Inc. (TREX) carries a higher beta of 1. 52 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (STRR: +50. 6%, TREX: +248. 9%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

These companies operate in different sectors (STRR (Healthcare) and MGRC (Industrials) and TREX (Industrials) and WSC (Industrials) and BLDR (Industrials)), which means they face different economic cycles, regulatory environments, and macro sensitivities — making direct comparison nuanced.

In terms of investment character: STRR is a small-cap income-oriented stock; MGRC is a small-cap quality compounder stock; TREX is a small-cap quality compounder stock; WSC is a small-cap quality compounder stock; BLDR is a small-cap quality compounder stock. STRR, MGRC, WSC pay a dividend while TREX, BLDR do not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.